With the continued rapid growth of e-commerce, delivery has become a new battleground for consumers, as businesses compete to find faster and more cost-effective fulfillment options. To compete, many companies have invested heavily in expanding their logistics networks. Sometimes, however, the answer to making delivery more efficient isn’t about building infrastructure, but about reimagining how it’s built.
By embracing ship from store delivery, businesses can become less reliant on distribution centers and expedite shipping by connecting customers with goods that are closer to them geographically. This approach results in a delivery network that is more agile, efficient, and cost-effective. In this article, we’ll explore these benefits to help you decide if a ship from store delivery program is the right choice for your business.
What is ship from store delivery?
Ship from store delivery is exactly what it sounds like: fulfilling online orders using inventory from physical retail stores rather than a centralized warehouse or distribution center. Once an order is placed, the fulfillment system identifies which store location is best suited to fulfill it based on factors like inventory availability and proximity to the customer. The retail staff at the store chosen to fulfill the order is then responsible for picking, packing, and shipping it.
This method effectively transforms retail stores into last-mile delivery centers, bringing products closer to customers and bypassing long-haul logistics where possible.
The benefits of ship from store delivery
For the right businesses, ship from store delivery can offer numerous benefits, including:
1. Faster delivery times
By shipping from locations that are closer to the customer, ship from store delivery often dramatically reduces delivery times. Most retailers already strive to build stores in locations that are in close proximity to their customers, so treating these stores like fulfillment centers for online orders allows you to create a delivery network that is already optimized for short delivery distances. In a world where same-day and next-day delivery are quickly becoming the norm, this approach allows retailers to compete with the delivery speeds of major e-commerce players without having to invest heavily in new infrastructure.
2. Reduce shipping costs
Shorter travel distances not only means faster deliveries, but also lower delivery costs. By tapping into local store inventories, retailers can reduce the need for expensive, long-distance shipments. Additionally, orders that might otherwise be split between multiple warehouses can be fulfilled in one package from a single store, further reducing complexity and cost.
3. Better inventory utilization
Retail stores often struggle with inconsistent inventory turnover. Some locations have excess stock that sits unsold, while others run low on popular items. A ship from store strategy helps balance this out by spreading online orders across stores and using inventory availability as one metric to determine which store should fulfill the order.
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4. Maximize existing assets
Stores, warehouses, and fulfillment centers all come with overhead costs. With a ship from store delivery program, you can reduce the need for warehouses and fulfillment centers while at the same time getting more value out of your existing assets (AKA your retail stores). It turns retail stores into dual-purpose facilities that function as both showrooms and fulfillment centers, making their overhead cost easier to absorb.
5. Improve customer satisfaction
Fast, reliable delivery isn’t just a convenience; it’s a key driver of customer satisfaction and loyalty. In many cases, ship from store delivery allows retailers to fulfill orders the same day. This level of speed and reliability is the kind of thing that can be a major differentiator for brands in an industry where delivery speed can often make or break the sale.
6. Reduced carbon footprint
The shorter travel distances that ship from store delivery typically entails results in a delivery process with a much lower carbon footprint. In addition to shortening delivery distances, ship from store delivery can also help companies reduce their carbon footprint by limiting the need for new warehouses and fulfillment centers. At a time when customers are more considerate than ever about the environmental impact of their purchasing choices, the bottom-line benefits of this should not be overlooked.
Conclusion
For businesses that already have a network of physical stores, ship from store delivery offers some game-changing benefits. At Bungii, we help retailers and distributors create ship from store delivery programs effortlessly by providing them access to a reliable delivery network that covers over 80 cities across the country.
By using your stores as fulfillment centers and Bungii as your delivery partner, you can create a fast, efficient, and reliable logistics network without having to build any new infrastructure. For brick-and-mortar retailers and distributors looking to compete with e-commerce giants, this is an enormous advantage.
Want to learn more about how Bungii can help you create a ship from store delivery program for your business? Contact us today to schedule a risk-free delivery assessment!